Commerce Secretary Sunil Barthwal on Thursday said that bilateral trade between India and Africa reached $100 billion in 2022, with a target to double this figure to $200 billion by 2030.
Barthwal highlighted that the African Continental Free Trade Area (AfCFTA) has pinpointed four key sectors — automobiles, agriculture, pharmaceuticals, and logistics — as having substantial potential for collaboration.
“We firmly believe that these sectors have huge potential for collaboration in terms of investment, trade, technology and capacity building between Africa and India,” Barthwal said at the Confederation of Indian Industry’s India-Africa Business Conclave in New Delhi.
In agriculture, Barthwal asserted opportunities for increased trade and cooperation in areas such as processed foods and seed technology. He also pointed out that India’s pharmaceutical exports to Africa amounted to $3.8 billion in 2023, with potential for growth in providing affordable medicines and healthcare to the continent.
Barthwal also highlighted Africa’s crucial role as a supplier of critical minerals needed for the green energy transition. These minerals, including cobalt, copper, lithium, nickel, and rare earths, are essential for producing clean energy technologies and electric vehicle batteries.
In logistics, Barthwal suggested that India could share its expertise and best practices. He also indicated that there is significant potential to expand the import basket from Africa and implement tailored capacity-building programs on the continent.
Dammu Ravi, Secretary (Economic Relations) at the Ministry of External Affairs, speaking at the conclave, noted that the Duty-Free Tariff Preference (DFTP) scheme has not been fully utilized by Africa. He urged Indian businesses to consider establishing industries in Africa, highlighting the continent’s manufacturing potential.
Ravi also called for increased information flow from Africa regarding laws, incentives, schemes, and land lease policies, which could help strengthen economic ties between the two regions.